What’s Good for GM isn’t What’s Good For America
1st June 2009
Megan McArdle has a low Bullshit Threshhold.
GM’s main problems are
1) A terrible, bloated cost structure
2) A terrible, bloated bureaucracy
3) A bunch of meh car linesWhich of these is the government going to solve? That terrible, bloated cost structure supports a bloated union whose jobs are the entire rationale for the government intervention. Leaning on the parts suppliers just risks UAW jobs further down the supply chain. Maybe we can take it out of the budget for copy paper and pencils.
Forgive me if I am skeptical that the government is going to show GM how to streamline its bureaucracy.